The Greater Toronto Area housing market has lost all momentum, with September home sales plummeting 9% year-over-year to 5,040 units sold through TRREB’s MLS system. This sharp decline marks a dramatic reversal from the market’s earlier gains in June, when sales had jumped 9.4% annually.
The slowdown extends beyond transactions. New listings dropped 14.4%, while benchmark home prices fell across the region—down 6.5% in York Region, 5.2% in Durham Region, and 3.8% in the City of Toronto proper. Condos were hit particularly hard, with benchmark prices sliding 6.7% year-over-year across the GTA.
Economic uncertainty is the culprit. Despite lower home prices creating genuine buyer opportunities, rising bond yields and employment concerns are keeping would-be purchasers on the sidelines. TRREB’s Jason Mercer noted substantial pent-up demand exists, but buyers need confidence that their employment and borrowing costs will remain stable.
TD Bank has downgraded its housing forecast, now expecting Canadian home sales to fall about 5% this year. For GTA readers, this signals a continued buyer’s market with pricing pressure likely to persist into late 2026.
Read the full analysis on Financial Post
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